The Relationship Between Social Responsibility And Financial Performance Of Internet Enterprises

As the fast driving of internet,a series of development of network scale and itsapplication especially in electronic commerce and internet+ has been getting considerable attention.However in recent years numerous cases of network security breaches,user privacy breaches,and network rumour events have shifted the public's attention to the social responsibilities that the internet based companies should face.Internet based companies,unlike traditional brick and mortar companies,produce no harmful chemical pollutants;however the way in which dangerous rumours can be spread via internet companies can be just as harmful to the public.The speed in which these dangerous rumours can spread is another one of a wide range of features that can cause harm and are often difficult to measure.Therefore the internet based companies must actively fulfill its social responsibility in order to promote its sustainable development,and to protect the legitimate interests of internet users.Just like traditional companies,the internet based companies must fulfil their social responsibility.An example of an internet based company fulfilling its social responsibility is the Alibaba group.Recently,in order to combat the illegal wildlife trade,the Alibaba group teamed up with the International Wildlife Trade Organisation to come up with a strategic cooperation agreement.These leading internet enterprises have set an example for the industry.However in our country many internet based companies still try to avoid their social responsibility.Domestic and foreign scholars have found a link between social responsibility and positive financial performance.However because internet companies are relatively new there is very little research into this hypothesis.In this paper I will investigate the link between corporate social responsibility and financial performance launched on a series of studies.Based on the above background,this paper systematically studies the interaction between social responsibility and financial performance of Internet companies.First of all,this article through the extensive reading of domestic and foreign literature,analysis of corporate social responsibility and financial performance related to the basic theory,to lay the theoretical foundation for this study.Secondly,it introduces the relationship between domestic and foreign enterprises on the fulfillment of social responsibility and the financial performance of enterprises themselves,and analyzes the relevant theories.Thirdly,based on the theory of stakeholder,we use the social responsibility rating score of Xunxin.com to quantify the situation of the Internet enterprises to fulfill their social responsibility and design the test model.Finally,the correlation,regression and descriptive statistical analysis of the data are verified,which proves that the Internet enterprises are positively related to the performance of social responsibility and financial performance.The research results can provide a reference for promoting the social responsibility of the Internet industry enterprises and learn from.